Unemployment Remains Ugly
The April numbers are out and the picture remains ugly. Remember there will also be a downward revision in the number of jobs created about three weeks from now. The full article is excellent but should you be short on time then the summary below says it all.
“Overall the report painted a picture of a jobs market that had gotten a boost from unseasonably warm winter weather but now has cooled. Though the headline number indicated job creation, the total employment level for the month actually fell 169,000. The disparity likely emanates from a drop in the labor force participation rate — or the level of Americans actively looking for jobs or otherwise employed — from 63.8 percent to 63.6 percent, its lowest level since December 1981. The amount of discouraged workers swelled from 865,000 to 968,000, an increase of 12 percent. Those working part-time for economic reasons surged 181,000 to more than 7.8 million. “In the weakest recovery since the Great Depression, more than four-fifths of the reduction in unemployment has been accomplished by a dropping adult labor force participation rate — essentially persuading adults they don’t need a job, or the job they could find is not worth having,” said University of Maryland economist Peter Morici.”
“In short, overall employment fell, the number of Americans abandoing the workforce altogether surged by 12 percent, and even more Americans shifted to part-time work out of economic necessity. Economic stats guru Zero Hedge notes that more than half-a-million US workers left the labor force last month — a number that dwarfs the official “jobs added” total. President Obama often reminds us that he inherited the worst recession since the Great Depression. His failed policies have, in turn, precipitated the weakest recovery since at least the 1930s, plunging us much deeperinto debt with very little bang for our borrowed buck. No wonder the Obama campaign is desperate to manufacture wars on women, students, oil speculators, etc — anything to avert voters’ gaze from these awful numbers.”